Victoria VR leverages AI and blockchain to enhance gaming with immersive VR experiences, AI-driven interactions, and a self-sustaining digital economy.

With over 3 billion gamers worldwide (and counting), the 

 industry needs to constantly find new and innovative ways to keep their myriad participants entertained and engaged. Technologies such as virtual reality (VR) and the 

, which include augmented reality (AR) and 

, have contributed substantially to creating an immersive gaming experience.

As the metaverse continues to unlock endless opportunities for the gaming world, Victoria VR has set out on a mission to integrate artificial intelligence (AI) to improve gaming experiences.

Let’s take a deeper look at Victoria VR and the way it’s leveraging AI to tap into the gaming metaverse and upgrade users' experiences.

Victoria VR is a blockchain-powered virtual reality (VR) AI metaverse designed to leverage AI and VR to provide an immersive web3 gaming experience. 

The Victoria VR blockchain project is on a mission to create a thriving and immersive infrastructure in which the gaming world can explore its metaverse in an enhanced way.

Through AI, Victoria VR provides gaming developers with AI tools to build immersive games in a secure, transparent and scalable ecosystem. With features like the VR AI Builder and AI Agents, Victoria VR provides an AI-powered ecosystem to interact with its metaverse.

Its native token, VR, is poised to provide users with a self-sustaining virtual economy in which gaming, blockchain, the metaverse and VR content creation can interact cohesively.

To shape the future of VR through an AI-powered metaverse for immersive gaming, Victoria VR has created the following features.

The VR AI Builder is designed to simplify developers' challenges when creating VR content. Currently, VR game development requires programming skills and significant resources in terms of time and money. However, the VR AI Builder is integrated with OpenAI, making it simple to use with simple text commands. With VR AI Builder, anyone can quickly create VR content, thereby reducing costs, saving time and supporting scalable growth. It also supports integrating new AI technologies as they continually emerge.

The VR AI Builder empowers both novices and experienced developers to create and expand virtual worlds, complete with games and assets. Furthermore companies can use the VR AI Builder to create virtual buildings, showrooms and storefronts; simulate training; and provide immersive experiences to their customers.

The VR AI Builder is driven by the VR token, which plays a crucial role in building and monetizing virtual worlds.

At the heart of Victoria VR’s metaverse are its AI Agents, autonomous and intelligent creations that can independently interact and adapt in a virtual environment. These agents learn user behaviors and preferences in order to provide customized and effective support.

Creating VR AI Agents on the platform is accessible to everyone, and doesn’t require advanced technical knowledge. Some specific roles these agents can perform include NPCs in games, shopping assistants in virtual stores and even virtual teachers.

VRtap is a Telegram-based clicker PvP game by Victoria VR that uses feng shui to immerse players in an elemental adventure, helping the project community stay connected and engaged.

Some of the features of VRtap include the following:

VR is the native token that powers the Victoria VR platform. It's designed to facilitate seamless interaction on the platform and ensure a self-sustaining economy. The total supply of VR is 16.8 billion tokens, with a current circulating supply of just under 6.85 billion.

As a utility token, VR has numerous use cases on the platform, including staking, governance and diverse use in powering Victoria VR's AI and gaming aspects.

The VR token is crucial to the self-sustaining aspect of Victoria VR's gaming pillar. It’s designed to ensure long-term sustainable value for the various stakeholders in the ecosystem.

The VR token is essential for accessing and monetizing the VR AI Builder feature. Builders need VR tokens to buy VR land in order to start using the feature. Once you have VR content, you can monetize it and receive payments in VR tokens.

Furthermore, the platform collects part of the fees generated through this feature in the form of VR tokens, which boosts circulation and enhances token utility.

The VR token helps create and fuel intelligent virtual experiences through VR AI Agents on Victoria VR. VR tokens’ use cases for VR AI Agents include the following:

VR tokens facilitate user interaction with the Victoria VR metaverse via both PC and mobile versions. Users can earn VR tokens through activities such as mining and community engagement. These tokens also ensure a cross-platform economy, whereby VR tokens earned from either version can be used across the Victoria VR ecosystem.

 Perpetual contract in the Innovation Zone with up to 20x leverage. Tokens listed in the Innovation Zone are typically from new projects that may be subject to higher volatility.

As of Feb 7, 2025, Victoria VR's price was $0.007863, a 98.7% drop from its all-time high (ATH) price of $0.61 on Dec 10, 2021, and a 67.7% increase from its ATL of $0.0047 on Jan 3, 2023.

Price prediction experts are cautiously bullish on the future price of the VR token. Experts at CoinCodex believe that VR 

 a maximum price of $0.01 in 2027, and increase to $0.03 in 2030. Meanwhile, DigitalCoinPrice’s forecasting experts believe that VR 

 $0.028 in 2027 and reach $0.0425 by 2030.

That said, these bullish predictions don't guarantee the future price of VR. We highly recommend you 

 before investing in VR or any other cryptocurrency.

Victoria VR is redefining the metaverse with its AI-driven, hyperrealistic virtual world. By blending blockchain technology with immersive VR, it offers an unparalleled digital experience so users can explore, interact and create with limitless possibilities.

Victoria VR’s integration of AI into gaming through the VR AI Builder and AI Agents gives it a competitive edge, and makes the project stand out in the web3 space, making its native token, VR, an asset to watch in the web3 space.

Beginner

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Victoria VR (VR): The Ultimate AI-Driven Metaverse Experience

Explore the difference between Spot and Perpetual Futures and find out how you can navigate volatile markets with these two trading methods.

Bitcoin moves 20% in an hour. Ethereum nose-dives as a whale dumps holdings. The crypto market is a poster child of volatility, and panicked traders may scramble. Others, calmer, may seize the chaos in order to profit. What separates these two outcomes? Often, it’s the trader’s hard choice of weapon.

Although spot trading and perpetual futures are both popular trading methods in crypto, their mechanics — and risks — are worlds apart. Spot trading offers simplicity and direct ownership, while perpetual futures provide leverage and flexibility. Each method carries its unique risks. 

In volatile markets, these tools behave differently, and a poor understanding of their dynamics can turn a calculated risk into a catastrophe. This article dissects spot and perpetual futures, explains why volatility amplifies their risks — and shows you how to choose the right strategy when markets go haywire. 

 is the buying or selling of a digital asset (like 

) for immediate delivery and settlement at its current market price. When you trade on spot, you directly exchange cash or 

 for the asset, with no expiration dates, 

You directly and physically own the asset as soon as the transaction is completed. The trade is settled on the spot (hence the name), meaning the exchange of the asset and the payment happen almost instantaneously, eliminating the risk of price fluctuations during the settlement period.

Say Bitcoin is priced at $100,000, and you buy 1 BTC on a spot exchange such as Bybit. You pay $100,000 (or equivalent in stablecoins) and immediately receive the Bitcoin in your wallet. If the price crashes to $90,000 the next day, your BTC is now worth $90,000 — a 10% loss. If, on the other hand, it surges to $106,000, your gain is 6%. The risk and reward are straightforward: you’re fully exposed to the asset’s price movement, with no amplified gains or losses. 

Here’s a visualization of the mechanics:

[Crypto Exchange] → [Deposit Fiat Currency/Stablecoins] → [Purchase Cryptocurrency on Spot Market] → [Wallet] 

 (or "perps") are derivative contracts or agreements to buy or sell an asset at a predetermined price at any time in the future. They let traders speculate on an asset’s price without ever taking ownership of it. 

Unlike traditional futures, which expire on a set date, perpetuals have no expiration — hence the name. Instead, they rely on funding rates to tether their prices to the underlying spot market. If combined with leverage, they’re a high-risk, high-reward tool for potentially profiting in volatile markets. 

Perpetual futures allow traders to use leverage, meaning the exposure is larger than the initial capital. For example, with 10x leverage, a $1,000 margin lets you open a $10,000 position. If Bitcoin rises 10%, your profit is $1,000 (10% of $10,000), doubling your initial margin. But if Bitcoin drops 10%, you lose your entire margin ($1,000) and face 

. Leverage magnifies volatility’s impact, turning small price swings into existential risks.

 is the collateral required to open a leveraged position (e.g., $1,000 for a $10,000 position at 10x), while the 

 is the minimum collateral needed to keep the position open. If your margin falls below this threshold, due to losses, you must add more funds or the exchange liquidates your position automatically. 

Let’s assume you open a 10x long on Ethereum with a $1,000 margin. If ETH drops 9%, your loss is $900, leaving $100 in margin. If the maintenance margin is 5% ($50), you’re still safe. But a 10% drop in Ethereum wipes out your margin, triggering liquidation. 

Funding rates are periodic payments (usually every eight hours) between 

 traders to keep perpetual futures prices close to the spot price. A positive funding rate exists when longs pay shorts. This happens when perpetuals trade above the spot price, incentivizing traders to sell (short). Negative funding rates — meaning that shorts pay long — occur when perpetuals trade below the spot price, encouraging buying (going long). 

In volatile markets, funding rates can swing wildly. For example, during a Bitcoin rally, excessive bullish sentiment may push perpetuals’ prices above spot prices, forcing longs to pay hefty fees to shorts. 

Trading a perp looks something like this:

[Trader’s Margin] → [Leverage (e.g., 10x)] → [Open Position] 

[Price Movement] → [Profit/Loss Calculated in Real Time] 

[Funding Rate Payments] (Every 8 Hours) 

[Liquidation if Margin < Maintenance Threshold] 

The Crucial Difference: Pricing Mechanisms

Traders must understand how prices are set in spot trading versus perpetual futures, especially in volatile markets, as mispricing can lead to unexpected losses or missed opportunities. 

 on a single exchange. When you buy Bitcoin on Bybit, the price reflects the highest 

 (sell order) in Bybit’s order book at that moment. When more people want to buy an asset than sell it, the price increases. Conversely, when more people want to sell than buy, the asset’s price drops.

However, spot prices can vary wildly between exchanges. High-volume exchanges, such as Binance or Bybit, typically have tighter 

 (smaller gaps between bid/ask prices). Regulatory restrictions and/or regional buying/selling pressure can also create price disparities. 

Perpetual futures prices aren’t tied to a single exchange. Instead, they track an index price, a weighted average of spot prices from multiple reputable exchanges. This arrangement prevents manipulation, and ensures fairness.

First, reputable exchanges with strong liquidity, such as Binance, Bybit and Kraken, are selected as contributors. Weights are then assigned based on trading volume, giving greater influence to exchanges with higher activity. The index price is computed using a weighted average, whereby (for instance) Binance contributes 50%, Bybit 30% and Kraken 20%, resulting in a balanced and representative market price.

Here’s a visual aid for the calculation: 

Index Price = (Binance Price × 50%) + (Bybit Price × 30%) + (Kraken Price × 20%).

Perpetual Futures Price ≈ Index Price + Funding Rate Adjustments 

Withdrawal halts occur when exchanges temporarily block users from moving assets off-platform. They are rare but catastrophic events, often triggered by extreme volatility, regulatory crackdowns or security breaches. These halts expose the fragility of spot markets, while highlighting the resilience of perpetual futures.

Imagine an exchange suddenly halts withdrawals. Its spot market turns into an isolated bubble, cut off from the broader crypto ecosystem. Here’s how this could happen:

 traders help balance prices across exchanges. If BTC is cheaper on one platform, some traders will buy it there and sell it on another where Bitcoin’s price is higher, keeping prices in sync. But when withdrawals are frozen, traders can’t move assets, making cross-exchange arbitrage impossible.

Let’s say Binance halts BTC withdrawals during a market crash. Panic selling on Binance drives BTC’s price down to $25,000, while on Bybit, it remains at $28,000. Under normal conditions, arbitrageurs would step in, buying cheap BTC on Binance and selling it on Bybit to close the gap. But with withdrawals locked, Binance’s price remains disconnected.

With liquidity trapped, bad actors can exploit the situation. A 

 could dump BTC on Binance, crashing its price to $22,000, while Bybit keeps trading at $28,000. Retail traders on Binance would suffer large losses as they’d be unable to transfer assets or take advantage of the price difference.

When withdrawals freeze, spot markets fracture, leaving traders stranded in a distorted price bubble, with no hope of escape until normal operations resume.

Perpetual futures contracts avoid the chaos of isolated spot markets by relying on an index price aggregated from multiple exchanges. This mechanism keeps them anchored to the broader market, even when individual platforms experience disruptions. 

For example, if Binance suddenly halts withdrawals, its BTC price may diverge from the rest of the market. However, because the index also includes prices from exchanges like Bybit and Kraken, it remains stable. Even with Binance carrying a 50% weight in the index, Bybit (30%) and Kraken (20%) ensure that the final calculation reflects a more accurate market value. This mechanism prevents traders from becoming trapped in a price bubble caused by a single exchange’s issues.

Another advantage is resistance to manipulation. If a bad actor tries to crash BTC’s price on one exchange, their influence on the index remains limited. To meaningfully distort the index price, they would need to control multiple major exchanges — a far more challenging and costly feat. 

This hardiness makes perpetual futures a more reliable option during crisis scenarios. Spot traders may get stuck with distorted prices when withdrawals are halted, but perps remain tethered to a broader market view. While they’re not immune to volatility, their reliance on aggregated data provides a crucial safeguard. However, traders must also consider funding rates and leverage risks.

Navigating a Withdrawal Halt: Staying Calm and Informed 

A crypto withdrawal halt — whether due to a flash crash, regulatory action or technical failure — can send traders into a frenzy. Prices may swing unpredictably as speculation runs wild and liquidity dries up. Nevertheless, survival in these moments is about keeping a level head.

Before making any moves, verify the situation. Fear-driven rumors spread fast, but official channels provide the facts. Exchanges like Bybit now offer real-time transparency on liquidations via their APIs, and CEO Ben Zhou has been vocal about publishing 

 during crises. Trust credible sources, not whispers from anonymous Telegram groups.

Emotional trading is the fastest way to lock in losses. Spot market prices on a halted exchange can detach from reality, plunging far below the broader market. Selling into that panic only benefits manipulators. Likewise, overleveraging on perpetual futures can backfire during times of extreme volatility. Traders who endure these moments best are the ones who stick to their risk management principles and wait for conditions to stabilize.

Bybit is setting new standards by committing to transparency, publicizing real-time liquidation data and encouraging open communication. During times of uncertainty, reliable data keeps traders grounded, helping them separate signals from noise and navigate volatility with clarity rather than fear.

Volatile markets test the strengths and weaknesses of both spot and perpetual futures trading. 

Cryptocurrency markets thrive on volatility, but surviving and profiting from volatility depends upon choosing the right tools. Spot trading offers direct asset ownership, simplicity and no liquidation risk, but it can be vulnerable to exchange-specific halts and price slippage during market turmoil. On the other hand, perpetual futures trading allows traders to profit in any market direction, benefit from leverage and avoid single-exchange manipulation through index-based pricing, but it also carries liquidation risks, complexity and funding rate costs. 

Regardless of your trading method of choice, risk management is crucial. Educate yourself and set 

 to minimize exposure. In addition, dive into Bybit’s 

 to sharpen your edge, and learn how to get started with 

Intermediate

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Spot vs. Perpetual Futures: Stay Ahead of the Curve in Volatile Markets

Ankr has been chosen to power TAC, a groundbreaking TON Network extension that brings full EVM compatibility to TON. 

The S&P 500 rose 0.36%, led by consumer staples, financials, and tech, as investors awaited the jobs report. Gold fell 0.38% to $2,852 amid rising yields and profit-taking before the jobs report but remains near YTD highs. Coindesk Indices, an index measuring broader cryptocurrency market performance was down by 0.81%, with Bitcoin and Ether dropping by 0.44% and 2.91%, in the past 24 hours. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today’s top performer is BERA, which surged nearly 3.0% following Berachain's mainnet launch and $632M BERA airdrop announcement.

Berachain (BERA), founded in 2021, is a Layer 1 blockchain with Proof-of-Liquidity consensus, ensuring security and liquidity while maintaining full Ethereum compatibility. Berachain launched its 

 on February 6, alongside a $632 million BERA airdrop to eligible users. Around 79 million BERA tokens were distributed, primarily to Bong Bears NFT holders. BERA serves as the network’s gas and staking token. Berachain uses a Proof-of-Liquidity consensus to enhance security and liquidity. Token allocations also include funds for community initiatives, ecosystem R&D, and institutional investors.

Check Out the Latest Prices, Charts, and Data of 

, a groundbreaking TON Network extension that brings full EVM compatibility to TON. TAC enables Ethereum developers to deploy seamlessly on TON while unlocking access to 100M active wallets and Telegram's 950M users. Built using the Cosmos SDK and Ethermint, TAC integrates Babylon’s Bitcoin staking protocol for enhanced security and decentralization. Assets like Teleport BTC (tgBTC), stTON, and tsTON will support restaking within TAC’s infrastructure. As the first blockchain leveraging Ankr’s Bitcoin Secured Infrastructure, TAC bridges Ethereum’s liquidity with TON’s scalability, advancing Web3 growth within Telegram’s ecosystem.

Yesterday, BTC Spot ETFs had $140.2M in outflows, with GBTC losing $42.2M and non-GBTC funds dropping $98.0M.

Kuroro Wilds, an Ethereum RPG on Ronin, launched a 

 campaign ahead of its KURO token launch. Players earn rewards by completing quests, social tasks, and referrals. The event offers 10M KURO and Treasure Eggs, running until mid-February. VIP pass holders get extra rewards, while top players can win additional prizes. KURO’s launch date is yet to be announced.

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Ankr Powers TAC to Bridge TON and Ethereum with Bitcoin-Secured Infrastructure for Enhanced Web3 Growth

Discover key strategies for P2P crypto sellers on Bybit. Learn how to off-ramp securely, set competitive prices, and maximize profits with zero fees.

Crypto off-ramping and on-ramping — respectively, converting your cryptocurrency into fiat money to take it off-chain, and buying crypto funds with fiat currencies — are key processes that support the tight connection between the traditional finance and cryptocurrency markets. 

Among the various key methods of off-ramping and on-ramping, 

 (P2P) trading stands out for several reasons. It lets you cut out intermediaries from your crypto buy or sell transactions, and creates opportunities to use a wide range of national currencies, among other advantages. However, many P2P platforms pose serious risks to buyers and sellers, with 

 and disputes between the transacting parties common on some less-regulated and less secure platforms.

Bybit’s P2P Trading platform allows you to use crypto off-ramping and on-ramping services in complete security, as it benefits from the platform’s escrow system, user reputation model and well-protected trading environment offered by one of the leading cryptocurrency exchanges in the world. For sellers of crypto for fiat, Bybit’s P2P Trading offers some of the best options around in terms of costs, convenience and security. This article covers all the nuances of P2P off-ramping, and shows you how you can off-ramp via the Bybit P2P Trading platform.

Understanding On- and Off-Ramping as a P2P Seller

While closely connected, the traditional and crypto finance systems operate as separate markets of their own. You can’t use your dollars, euros, pounds or yuan in their original form on the 

 (BTC) blockchain, or invest in a yield-bearing product on a 

 (ETH). Likewise, buying your morning coffee or that nice car you’ve been saving for in bitcoins or other cryptocurrencies is still a rarity. However, the number of traditional retailers accepting direct crypto payments is on the rise.

In order to move your funds between the traditional finance system and the cryptocurrency world, you’ll need to use on-ramping and off-ramping.

On-ramping refers to the conversion of fiat currency into crypto to bring your funds 

. Most people who start their cryptocurrency journey will use on-ramping services to acquire their first crypto holdings. Seasoned crypto users also make extensive use of on-ramping when moving funds between a 

 environment and traditional finance sources.

On-ramping solutions let you pay using widely accepted bank cards, mobile wallets, bank transfers and more. As long as your card or account gives you access to some fiat money, you can acquire cryptocurrency in a matter of seconds (or minutes, in most cases). Various brokerages and P2P platforms are also available to facilitate easy on-ramping.

Off-ramping is the reverse process of on-ramping: it allows you to sell your cryptocurrency for fiat currency in order to return your funds to the traditional finance ecosystem. Using off-ramping services, you can convert a wide range of cryptocurrencies into the many national fiat currencies on offer. Just as with on-ramping, you can choose from various methods to off-ramp. These include selling crypto on exchange platforms, P2P marketplaces or via some payment processors in order to have your fiat funds deposited into your bank account, mobile wallet or bank card.

Among the multiple methods for off-ramping, P2P operations are particularly attractive, due to the absence of intermediary costs. In particular, Bybit’s P2P Trading allows you to off-ramp with 

, offering multiple payment methods and direct transactions with buyers around the world.

Finding the Right Way to Off-Ramp Crypto as a Seller

Selling crypto in an off-ramping environment can be competitive, as buyers will see offers from numerous sellers offering the same crypto asset. Payment processing issues — or fraudsters — may also jeopardize your selling experience. Some key points to consider when you sell crypto for fiat currency are as follows:

Whether you choose bank transfers, online payment processors like PayPal, mobile wallets or other formats to off-ramp your funds, ensure that your preferred method supports the type of national currency you sell for, the mode of transfer and any appropriate daily (or other) limits.

The Bybit P2P platform also provides various tools to avoid some common issues in off-ramp sales. For instance, if you’ve completed an order, and have realized that the buyer has underpaid (or hasn’t paid at all), you can quickly request a top-up or send an urgent payment request in the 

. If the buyer refuses to rectify the issue, you can also file a dispute with a Bybit P2P Appeal Specialist for investigation.

You can adopt certain strategies to maximize your profits as a P2P crypto seller. One way to optimize your trading outcomes is to regularly update your listings, based on the prevalent market conditions and the overall activity on the trading platform. For instance, being active during peak trading hours can work wonders for achieving successful sales.

Building and maintaining an exemplary seller reputation on the Bybit P2P platform is also important. One particularly useful feature is that you can transparently view key reputational metrics, such as successful order completion rates. By maintaining perfect order completion rates, you instill trust in your services. Earning the 

designation is also recommended to help boost your reputation.

Finally, being flexible in terms of your order options is also a key way to optimize your off-ramp sales. For instance, traders who offer to sell their crypto for a broader range of national fiat currencies are likely to attract more buyers. Try to expand your offer to cover as many fiat currencies as you can handle practically.

To start as a seller on the Bybit P2P platform, you must first deposit your crypto funds into your Funding Account. During transactions, your funds will be held in escrow to ensure a safe trading experience for all parties involved. To further boost your sales, you can choose to be a maker and advertise your listings by setting preferred rates, payment methods, order limits and fiat currencies accepted.

 — classifications that carry significant reputational benefits — you can initiate the verification procedure by first providing a security deposit. 

: In order to ensure that you have enough funds to provide the security deposit, keep a balance of at least 1,000 

Last but not least, ensure that you manage your interactions and transactions efficiently by promptly releasing funds during sales. Maintaining high order completion rates and a great reputation are critical to instilling trust among potential buyers. Additionally, sellers with poor transaction histories risk having their sale ads hidden.

Bybit’s P2P Trading platform offers a secure and efficient environment in which to sell your crypto for off-ramping purposes. The platform’s escrow system, flexible advertising options, zero transaction fees, global access and choice of over 650 payment methods, 300 cryptocurrencies and 60 fiat currencies make it one of the best products on the market for off-rampers. Moreover, its competitive rates and flexible currency options for buyers help you further optimize your selling experience on the platform for profitable, efficient and easy off-ramping.

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Bybit P2P for Sellers: Your Key to Smooth Crypto On- and Off-Ramping

Bybit Learn

Trading

A rounding top pattern, also known as a rounded top pattern, is a technical analysis tool used by crypto traders to identify a potential trend reversal.

It’s often said that traders should cut their losers early and let their winners run. While traders may want to let their crypto winners run, an overt focus on 

 and not taking profits off the table can be dangerous when momentum turns against you and the sentiment of a particular coin or token suddenly becomes 

To gain a sense of when it’s time to consider closing your existing position, one bearish reversal pattern you may want to consider is the rounding top pattern.

By interpreting the warning signs early and grasping the formation of an upcoming inverted U-shaped top, traders with knowledge of such 

–related patterns can easily establish a short position early or close off a long position before the rounding top pattern fully plays out.

Interested in learning how you can lock in your profits early before a sudden downtrend reversal? In the following guide, we’ll consider how crypto traders can learn to notice early formation of the rounding top chart pattern and set take-profit levels.

A rounding top pattern, also known as a rounded top pattern, is a technical analysis tool used by crypto traders to identify a potential trend reversal. The chart pattern looks like an inverted U, and is formed when an asset’s price increases gradually, peaks and then dips again.

Ask any active trader and they’ll tell you it's important to be aware of bearish reversal pattern formations, as it can help with setting rough 

 levels and guarantee profits before an inevitable downswing in price movement. The rounding top pattern typically occurs as the crypto market shifts from 

 leans toward the bearish side. To take advantage of the sudden shift, traders with charting and technical analysis backgrounds may want to 

 based on these shifts. The plan may be crafted with the intention of either 

Before proceeding to make trades based on the rounding top pattern, it’s key to first study the formation and eventual emergence of this charting pattern. An often relied-upon trend reversal pattern that may indicate an explosive breakout in a bearish direction, the rounding top can easily be spotted, thanks to a sudden downward trend that occurs as the result of a gradual appreciation in price. 

Regardless of whether the sudden trend change is based on news or is moving off of technicals, this sudden movement represents a change in trader sentiment and expectations. In order to possibly profit from early knowledge of this shift in sentiment, crypto traders can opt to establish a 

 so they can trade off the chart pattern’s formation. To break down the rounding top pattern, traders can watch for the three stages that form its inverted U-shaped curve.

Initial Buildup of the Rounding Top Reversal Pattern

The first stage of this pattern involves gradually rising prices and is characterized by low volume. This indicates that crypto traders may not actively be buying and selling at this time. Because of the lack of demand, some speculators might call this a 

, since there’s weak price action. Moreover, traders may notice that the asset’s price tends to face short-term bounces off resistance lines before resuming its gradual decline.

The second stage marks a shift in sentiment, with the asset’s price reaching a peak as part of the inverted U shape, before going back on the decline to form a range that sees the price bouncing off key levels. This flagging pattern hints that traders may be exiting the market again ahead of a potential negative catalyst or news story.

In the third and final phase of the rounding top pattern, traders may notice a buildup of selling pressure as the asset’s price trends downward, and a hint of an upcoming breakout as bullish candlesticks appear to signify the end of the flagging pattern. This is typically accompanied by a sudden increase in trading volume, confirming the asset's bearish momentum and subsequent downward price movement. 

During this portion, breakout traders usually start to enter into short positions with confidence as the price action is confirmed with the surge in buying volume. Conversely, if long positions were previously established, the recognition of this bearish trading pattern might be a sign to exit these long positions and lock in profits ahead of a drop in the asset’s price.

When Does the Rounding Top Pattern Breakout Occur?

If you’re a crypto trader who focuses on pattern breakouts, then you’ll certainly want to know when breakouts occur for the rounding top pattern. In this bearish pattern’s case, breakouts usually take place at the end of the formation when the price falls sharply below the support level that’s been established during the formation. As the price breaks below this level, it signals that sellers are dominating and likely driving prices lower. This can be an opportunity for traders to capitalize on a bearish move in the underlying asset, and to take action according to the existing market momentum.

Benefits of Using the Rounding Top Pattern

Keen to get ahead of the competition? Here are the possible benefits of including the rounding top pattern in your arsenal of recognized bearish chart patterns.

Early Recognition of the Bearish Pattern Formation

By understanding the formative stages of the rounding top pattern, crypto traders gain an edge over other market participants, as they can plan ahead and execute their trading plan according to how the price of the coin or token might move based on the pattern.

From trading on the breakout and building a short position to cutting the trade short and locking in profits, understanding the formation of the rounding top pattern helps crypto traders better grasp their setups and learn when to increase their position size.

Easy Setting of Take Profit & Stop Loss Levels

 can be straightforward if crypto traders make use of the price levels presented as part of the rounding top pattern. Those seeking to open a short position may consider placing their 

 levels at the peak of the inverted U shape in order to limit their risk. As for profit-taking levels, traders can attempt to play the breakout by setting a take-profit level slightly below the initial formation of the inverted U shape.

Although the rounding top pattern is a hot favorite among crypto traders with a bearish inclination, here are some risks that traders should take note of.

Using the rounding top pattern as part of a trading strategy can be risky, due to the inherent uncertainty in interpreting chart patterns. 

First, the rounding top pattern is hard to identify, and therefore traders may be unsure whether they’re observing a valid pattern or not. Secondly, since traditional chart patterns offer no certainty of future price movements, traders may experience losses if they misread the chart pattern and make wrong judgment calls. Furthermore, there may also be risks associated with false breakouts (

) that could lead to potential losses for traders.

As with all trading chart patterns, it’s key to recognize that the full formation of patterns such as the rounding top won’t play out perfectly. In particular, the second stage of the rounding top pattern may take days or weeks to fully play out. This can be a struggle for those who are 

 or trading with a shorter time horizon. Crypto traders who prefer to 

 or perform quick scalps throughout the day may ultimately lack the patience to see through their trading plan and let the rounding top pattern fully play out in order to realize a full recovery in price.

Because of the inherent volatility of buying and selling activity from market participants, nothing’s a sure bet when it comes to trading. This is made worse due to the somewhat volatile nature of cryptocurrencies. 

While the rounding top pattern may be considered a trusted formation for planning trades, given that it’s usually effective for trades with long time frames, non-viability might arise when catalysts cause marked changes in sentiment. While trading crypto, you may see huge surges and dips that cause an asset’s price to suddenly shift directions and break out of an established trend without prior warning. This can result in crypto traders becoming trapped in a trade after deciding to go short during the rounding top pattern’s second phase.

Relationship of Rounding Top Pattern to Double Top Pattern

A commonly known bearish charting formation that crypto traders rely on is the 

. It’s similar to the rounding top pattern in that both appear to play out the same in their initial stages. However, while rounding top patterns usually result in a breakthrough of the initial inverted U-shaped formation that acts as a support level, double-tops are characterized by false breakouts that cause the price of the asset to rebound off the established support level.

In order to not fall for such false flags, crypto traders can make use of complementary trading indicators and trendlines to confirm the downward movement of an asset before deciding to commit to their bearish trading plan.

Is the Rounding Top Pattern Worth Trying?

Based on the points listed above, the rounding top pattern is definitely worth trying as it’s relatively easy to identify and can help crypto traders get a better idea of when market sentiment changes direction. However, it should be noted that no pattern is 100% accurate, so it’s important for crypto traders to use other indicators and set appropriate stop-loss and take-profit orders in order to ensure their positions are adequately protected against large and unexpected market swings.

Regardless of your level of trading experience and/or prior knowledge, it’s key to grasp how the rounding top pattern works and forms in order to determine if it will work for you as a trader. This pattern ultimately requires longer time frames and a sharp eye, as rounding tops typically form over several days or weeks before even becoming remotely recognizable to trained eyes.

All in all, the rounding top pattern can be a useful tool for crypto traders looking to identify bearish sentiment in the market. However, it’s important to remember that this pattern should only be used as one of many indicators and trading tools when making trading decisions. We hope that you’re now better informed on the use of the rounding top pattern as a result of our simple trading guide. For more articles and guides on trading patterns and 

, make sure to read up on Bybit’s guide to trading the 

Rounding Top Pattern: How to Use It for Crypto Trading

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